Abstract
State governments have an inherent conflict of interest in the regulation of Indian gaming. Strict regulation of Indian gaming can be good for the long term health of the industry, but may impact short term revenues. States have a strong short term interest in maximizing gaming revenue. Tribal governments should bear the primary responsibility for regulating Indian gaming. However, tribal regulators also have a weakness, namely, a myopia to the interests of other tribes and the national interests of the Indian gaming industry. Federal regulators can best protect the integrity of the industry nationally and ought to have a strong oversight role. Federal regulators must support the independence of tribal gaming commissions within tribal governments and must remain vigilant against regulatory capture of tribal commissions. Congress should shore up regulatory authority over Class III Indian gaming.
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